Provides protection to employees and former employees from retaliatory actions by employers for the reporting of illegal or dangerous business activities.
STATE OF NEW YORK
________________________________________________________________________
7453
2025-2026 Regular Sessions
IN SENATE
April 16, 2025
___________
Introduced by Sens. HOYLMAN-SIGAL, GOUNARDES, KRUEGER, MAYER, SALAZAR --
read twice and ordered printed, and when printed to be committed to
the Committee on Labor
AN ACT to amend the labor law and the civil service law, in relation to
protection of employees and former employees against retaliatory
action by employers
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 740 of the labor law, as amended by chapter 522 of
2 the laws of 2021, is amended to read as follows:
3 § 740. Retaliatory action by employers; prohibition. 1. Definitions.
4 For purposes of this section, unless the context specifically indicates
5 otherwise:
6 (a) "Employee" means an individual who performs services for and under
7 the control and direction of an employer for wages or other remunera-
8 tion, including former employees, or natural persons employed as inde-
9 pendent contractors to carry out work in furtherance of an employer's
10 business enterprise who are not themselves employers.
11 (b) "Employer" means any person, firm, partnership, institution,
12 corporation, or association that employs one or more employees.
13 (c) "Law, rule or regulation" includes: (i) any duly enacted federal,
14 state or local statute or ordinance or executive order; (ii) any rule or
15 regulation promulgated pursuant to such statute or ordinance or execu-
16 tive order; or (iii) any judicial or administrative decision, ruling or
17 order.
18 (d) "Public body" includes the following:
19 (i) the United States Congress, any state legislature, or any elected
20 local governmental body, or any member or employee thereof;
21 (ii) any federal, state, or local court, or any member or employee
22 thereof, or any grand or petit jury;
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD08043-01-5
S. 7453 2
1 (iii) any federal, state, or local regulatory, administrative, or
2 public agency or authority, or instrumentality thereof;
3 (iv) any federal, state, or local law enforcement agency, prosecutori-
4 al office, or police or peace officer;
5 (v) any federal, state or local department of an executive branch of
6 government; or
7 (vi) any division, board, bureau, office, committee, or commission of
8 any of the public bodies described in subparagraphs (i) through (v) of
9 this paragraph.
10 (e) "Retaliatory action" means an adverse action taken by an employer
11 or [his or her] the employer's agent to discharge, threaten, penalize,
12 or in any other manner discriminate against any employee or former
13 employee exercising [his or her] the employee's or former employee's
14 rights under this section, including (i) adverse employment actions or
15 threats to take such adverse employment actions against an employee in
16 the terms of conditions of employment including but not limited to
17 discharge, suspension, or demotion; (ii) actions or threats to take such
18 actions that would adversely impact a former employee's current or
19 future employment; or (iii) threatening to contact or contacting United
20 States immigration authorities or otherwise reporting or threatening to
21 report an employee's suspected citizenship or immigration status or the
22 suspected citizenship or immigration status of an employee's family or
23 household member, as defined in subdivision two of section four hundred
24 fifty-nine-a of the social services law, to a federal, state, or local
25 agency.
26 (f) "Supervisor" means any individual within an employer's organiza-
27 tion who has the authority to direct and control the work performance of
28 [the affected] an employee; or who has [managerial] authority to take
29 corrective action regarding the [violation of the law, rule or regu-
30 lation] illegal or dangerous business activity of which the employee
31 complains.
32 (g) "Agent" means any individual, partnership, association, corpo-
33 ration or group of persons acting on behalf of an employer.
34 (h) "Illegal or dangerous business activity" means any practice, agent
35 of such employer, taken in the course of the employer's business, wheth-
36 er or not within the scope of employment or agency, that: (i) is in
37 violation of any law, rule or regulation; or (ii) creates and presents a
38 substantial and specific danger to the public health or safety.
39 2. Prohibitions. An employer shall not take any retaliatory action
40 against an employee or former employee, whether or not within the scope
41 of the employee's or former employee's job duties, because such employee
42 or former employee does any of the following:
43 (a) discloses to a supervisor or a public body, or threatens to
44 [disclose] make a disclosure to [a supervisor or to] a public body
45 unless the employer remedies the illegal or dangerous business activity,
46 information about an illegal or dangerous business activity[, policy or
47 practice of the employer that the employee reasonably believes is in
48 violation of law, rule or regulation or that the employee reasonably
49 believes poses a substantial and specific danger to the public health or
50 safety];
51 (b) provides information to, or testifies before, any public body
52 conducting an investigation, hearing or inquiry into any such illegal or
53 dangerous business activity[, policy or practice by such employer]; or
54 (c) objects to, or refuses to participate in any [such] illegal or
55 dangerous activity[, policy or practice].
S. 7453 3
1 3. Application. The protection against retaliatory action provided by
2 paragraphs (a), (b) and (c) of subdivision two of this section shall
3 apply to any employee who in good faith reasonably believes that an
4 illegal or dangerous business activity has occurred or will occur, based
5 on information that the employee in good faith reasonably believes to be
6 true; provided however that the protection against retaliatory action
7 provided by paragraph (a) of subdivision two of this section pertaining
8 to disclosure to a public body shall not apply to an employee who makes
9 such disclosure to a public body unless the employee has made a good
10 faith effort to notify [his or her] the employer by bringing the illegal
11 or dangerous business activity[, policy or practice] to the attention of
12 a supervisor [of the employer] and has afforded such employer a reason-
13 able opportunity to correct such activity[, policy or practice]. Such
14 employer notification shall not be required where: (a) illegal or
15 dangerous business; (b) there is an imminent and serious danger to the
16 public health or safety; [(b)] (c) the employee reasonably believes that
17 reporting to the supervisor would result in a destruction of evidence or
18 other concealment of the illegal or dangerous activity[, policy or prac-
19 tice]; [(c)] (d) such activity, policy or practice could reasonably be
20 expected to lead to endangering the welfare of a minor; [(d)] (e) the
21 employee reasonably believes that reporting to the supervisor would
22 result in physical harm to the employee or any other person; or [(e)]
23 (f) the employee reasonably believes that the supervisor is already
24 aware of the activity, policy or practice and will not correct [such]
25 the illegal or dangerous activity[, policy or practice] and will not
26 correct such activity.
27 4. Violation; remedy. (a) An employee who has been the subject of a
28 retaliatory action in violation of this section may institute a civil
29 action in a court of competent jurisdiction for relief as set forth in
30 subdivision five of this section within two years after the alleged
31 retaliatory action was taken.
32 (b) Any action authorized by this section may be brought in the county
33 in which the alleged retaliatory action occurred, in the county in which
34 the complainant resides, or in the county in which the employer has its
35 principal place of business. In any such action, the parties shall be
36 entitled to a jury trial.
37 (c) [It shall be a defense to any action brought pursuant to this
38 section that the retaliatory action was predicated upon grounds other
39 than the employee's exercise of any rights protected by this section.]
40 Except as otherwise provided in this section, a violation of this
41 section is established when the complainant demonstrates that a motivat-
42 ing factor for the retaliatory action violates subdivision two of this
43 section. Remedies for violation of subdivision two of this section shall
44 be limited solely to those provided in paragraphs (e), (f) and (g) of
45 subdivision five of this section if the employer demonstrates that it
46 would have taken the same action in the absence of the impermissible
47 motivating factor.
48 5. Relief. In any action brought pursuant to subdivision four of this
49 section, the court may order relief as follows, with monetary amounts as
50 determined by the jury other than under paragraph (e) and/or paragraph
51 (g) of this subdivision:
52 (a) [an injunction to restrain continued violation of this section;
53 (b)] the reinstatement of the employee to the same position held
54 before the retaliatory action, or to an equivalent position, or front
55 pay in lieu thereof;
S. 7453 4
1 [(c)] (b) the reinstatement of full fringe benefits and seniority
2 rights;
3 [(d)] (c) the compensation for lost wages, benefits and other remuner-
4 ation;
5 (d) compensatory damages for economic loss and for emotional distress;
6 (e) the payment by the employer of reasonable costs, disbursements,
7 and attorney's fees;
8 (f) a civil penalty of an amount not to exceed ten thousand dollars
9 and/or a liquidated damages award equal to amounts of damages pursuant
10 to paragraphs (c) and (d) of this subdivision, unless the court finds
11 that the employer acted in good faith in the retaliatory action;
12 [and/or]
13 (g) the payment by the employer of punitive damages, if the violation
14 was willful, malicious or wanton[.]; and/or
15 (h) an injunction to restrain the employer's continued violation of
16 this section.
17 6. Employer relief. A court, in its discretion, may also order that
18 reasonable attorneys' fees and court costs and disbursements be awarded
19 to an employer if the court determines that an action brought by an
20 employee under this section was without basis in law or in fact.
21 7. Existing rights. Nothing in this section shall be deemed to dimin-
22 ish the rights, privileges, or remedies of any employee under any other
23 law or regulation or under any collective bargaining agreement or
24 employment contract.
25 8. Publication. Every employer shall inform employees of their
26 protections, rights and obligations under this section, by posting a
27 notice thereof. Such notices shall be posted conspicuously in easily
28 accessible and well-lighted places customarily frequented by employees
29 and applicants for employment.
30 § 2. Subdivisions 2 and 3 of section 75-b of the civil service law, as
31 added by chapter 660 of the laws of 1984, paragraph (a) of subdivision 2
32 as amended by chapter 899 of the laws of 1986, are amended and a new
33 subdivision 5 is added to read as follows:
34 2. (a) A public employer shall not dismiss, suspend, demote, penalize,
35 threaten or discriminate against, or take other disciplinary or other
36 [adverse personnel action] act of reprisal against a public employee
37 regarding the employee's employment because the employee: (i) discloses
38 to a public body or threatens to make a disclosure to a public body or
39 supervisor if the employer does not remedy the improper conduct, to a
40 governmental body information[: (i)] regarding a violation of a law,
41 rule or regulation which violation creates [and] or presents a substan-
42 tial and specific danger to the public health or safety[; or (ii) which
43 the employee reasonably believes to be true and reasonably believes], or
44 which constitutes an improper governmental action[. "Improper govern-
45 mental action" shall mean any action by a public employer or employee,
46 or an agent of such employer or employee, which is undertaken in the
47 performance of such agent's official duties, whether or not such action
48 is within the scope of his employment, and which is in violation of any
49 federal, state or local law, rule or regulation], or which could reason-
50 ably be expected to lead to endangering the welfare of a minor; (ii)
51 provides information to, or testifies before, any public body conducting
52 an investigation, hearing or inquiry into any violation or improper
53 governmental action; or (iii) objects to, or refuses to participate in,
54 any such violation or improper governmental action.
55 (b) The protection against retaliatory action provided in subpara-
56 graphs (i) and (ii) of paragraph (a) of this subdivision shall apply to
S. 7453 5
1 any employee who in good faith reasonably believes that a violation or
2 improper governmental action has occurred or will occur, based on infor-
3 mation that the employee in good faith reasonably believes to be true.
4 (c) Prior to disclosing information pursuant to subparagraph (i) of
5 paragraph (a) of this subdivision, an employee shall have made a good
6 faith effort to provide the appointing authority or the authority's
7 designee the information to be disclosed and shall provide the appoint-
8 ing authority or designee a reasonable time to take appropriate
9 action unless there is imminent and serious danger to public health or
10 safety. For the purposes of this subdivision, an employee who acts
11 pursuant to this paragraph shall be deemed to have disclosed infor-
12 mation to a governmental body under paragraph (a) of this subdivision.
13 Notification to the appointing authority or designee shall not be
14 required where: (i) the employer has not posted any notice required by
15 subdivision five of this section; (ii) there is an imminent and serious
16 danger to the public health or safety; (iii) the employee reasonably
17 believes that reporting to the appointing authority or designee would
18 result in a destruction of evidence or other concealment of the improper
19 governmental action; or (iv) such activity could reasonably be
20 expected to lead to endangering the welfare of a minor.
21 (d) "Improper governmental action" shall mean any practice, procedure,
22 action or failure to act by a public employer or employee, or an agent
23 of such employer or employee, which is undertaken in the performance of
24 such agent's official duties, whether or not such action is within the
25 scope of such person's employment, and which is: (i) in violation of any
26 law, rule or regulation regarding governmental action; or (ii) creates
27 and presents a substantial and specific danger to the public health or
28 safety. "Law, rule or regulation" includes: (i) any duly enacted feder-
29 al, state or local statute or ordinance; (ii) any rule or regulation
30 promulgated pursuant to any such statute or ordinance; or (iii) any
31 judicial or administrative decision, ruling or order.
32 3. (a) Where an employee is subject to dismissal or other disciplinary
33 action under a final and binding arbitration provision, or other disci-
34 plinary procedure contained in a collectively negotiated agreement, or
35 under section seventy-five of this title or any other provision of state
36 or local law, or to the elimination of job title or classification that
37 uniquely fits and singles out such employee and the employee reasonably
38 believes that such dismissal [or], other disciplinary action or other
39 adverse action would not have been taken but for the conduct protected
40 under subdivision two of this section, [he or she] the employee may
41 assert such as a defense before the designated arbitrator or hearing
42 officer. The merits of such defense shall be considered and determined
43 as part of the arbitration award or hearing officer decision of the
44 matter. If there is a finding that the dismissal or other disciplinary
45 action is based solely on a violation by the employer of such subdivi-
46 sion, the arbitrator or hearing officer shall dismiss or recommend
47 dismissal of the disciplinary proceeding, as appropriate, and, if appro-
48 priate, reinstate the employee with back pay, and, in the case of an
49 arbitration procedure, may take other appropriate action as is permitted
50 in the collectively negotiated agreement.
51 (b) Where an employee is subject to a collectively negotiated agree-
52 ment which contains provisions preventing an employer from taking
53 adverse [personnel] actions and which contains a final and binding arbi-
54 tration provision to resolve alleged violations of such provisions of
55 the agreement and the employee reasonably believes that such [personnel]
56 action would not have been taken but for the conduct protected under
S. 7453 6
1 subdivision two of this section, [he or she] the employee may assert
2 such as a claim before the arbitrator. The arbitrator shall consider
3 such claim and determine its merits and shall, if a determination is
4 made that such adverse [personnel] action is based on a violation by the
5 employer of such subdivision, take such action to remedy the violation
6 as is permitted by the collectively negotiated agreement.
7 (c) [Where] In addition to or in lieu of the procedures set forth in
8 paragraphs (a) and (b) of this subdivision, or where an employee is not
9 subject to any of the provisions of [paragraph (a) or (b) of this subdi-
10 vision] such paragraphs, the employee may commence an action in a court
11 of competent jurisdiction under the same terms and conditions and for
12 the same relief as set forth in article twenty-C of the labor law.
13 5. Every public employer shall inform employees of their protections,
14 rights and obligations under this section, by posting a notice thereof.
15 Such notices shall be posted conspicuously in easily accessible and
16 well-lighted places customarily frequented by employees and applicants
17 for employment.
18 § 3. This act shall take effect on the ninetieth day after it shall
19 have become a law.
